Hire-Purchase Agreement - India

Hire-Purchase Agreement for use in India.

File types included

  • Microsoft Word
  • Adobe PDF
  • WordPerfect
  • Rich Text Format

Compatible with

  • Windows
  • Mac OS X
  • Linux

For Immediate Download

Rs.350 INR Add to Cart
60-Day Money Back Guarantee
Please select a state

Lawyer prepared

Our forms are kept up-to-date and accurate by our lawyers

Unlike other sites, every document on FindLegalForms.com is prepared by a lawyer, so you can be sure that you are getting a form that is accurate and valid in India.

Verified in India

Our forms are guaranteed
to be valid in India

Our team works tirelessly to keep our products current. As the laws change in India, so do our forms.

Over 3,500,000
satisfied customers

In over 10 years of creating and selling legal forms, our focus has never changed: providing our customers high quality legal products, low prices and an experience that takes some confusion out of the law.

60-Days Money Back

Try our forms with no risk

If you are unhappy with your form purchase for any reason at all, contact us within 60 days and we will refund 100% of your money back.
This kit includes tools and guidelines to assist you in drafting a Hire-Purchase Agreement.

In a hire-purchase agreement, the owner hires goods to the hirer with an option to purchase the goods when he has made the payment of a certain sum. This enables the purchaser who is unable to pay the full price of the asset at one lump sum to acquire an asset and after making the payment of an initial amount called a premium or deposit, the purchaser pays the balance consideration money in instalments. After the payment of all the instalments, the property in the goods passes to the hirer. The hirer has an option to return the goods during the period of hire. In a Hire-Purchase Agreement, the hirer has the right to terminate the agreement for hire for convenience without having to pay the value of the goods.

Among others, this form includes the following key provisions:
  • Delivery of the Equipment
  • Condition of Equipment
  • Payment
  • Maintenance and Loss
  • Indemnity
  • Inspection by Company and Installation
  • Liability and Insurance
This attorney-prepared Hire-Purchase Agreement packet contains:
  1. Description and Instructions for Hire-Purchase Agreement
  2. Hire-Purchase Agreement for use in India
Law Compliance: This form is designed for use in India.
Number of Pages10
DimensionsDesigned for Letter Size (8.5" x 11")
EditableYes (.doc, .wpd and .rtf)
UsageUnlimited number of prints
Product number#33476
This is the content of the form and is provided for your convenience. It is not necessarily what the actual form looks like and does not include the information, instructions and other materials that come with the form you would purchase. An actual sample can also be viewed by clicking on the "Sample Form" near the top left of this page.
 
 
Hire-Purchase Agreement
(India)

 

 

This Hire-Purchase Agreement (“Agreement”) made on this___________ day of ___________ BETWEEN   ______________________, having its registered office at _____________________________________ (hereinafter called the “Company” which expression shall include the successors and assigns  unless  the context  otherwise  admits)  of the  one part and  _________________________________________________ (hereinafter called  the “Hirer”) of  the other part.
WHEREAS the Company is the owner of ____________________________________ (“Equipment”) [mention particulars for hire] and which is more particularly described in the Exhibit A hereunder written.
AND WHEREAS the Hirer has requested the Company to give the said Equipment on hire to enable the Hirer to carry on the business of _____________________________ with an option to the Hirer to purchase the same.
AND WHEREAS the Company has agreed to do so on the following terms and conditions agreed upon between the parties.
NOW IT IS AGREED BY AND BETWEEN THE PARTIES AS FOLLOWS:
1) Hire
The Company agrees and acknowledges to give and deliver over to the Hirer the said Equipment described in the Exhibit A attached hereto on hire on the terms and conditions hereinafter mentioned and pursuant to this Agreement the Company has delivered possession of the said Equipment to the Hirer.
2) Condition of Equipment
The Hirer acknowledges that he has inspected the said Equipment before taking possession and is satisfied that it is in good and working condition and acknowledges delivery of the same to him by the Company
3) Payment
A) Parties agree that the hire-purchase price (“Price”) of the said Equipment is fixed at Rs. ______ exclusive of the deposit amount mentioned in the clause below.
B). The Hirer has paid to the Company on the execution of this Agreement a sum of Rs.______ as deposit which will be adjusted against the Hire-Purchase price of the said Equipment, If the Hirer exercises the option to purchase the same as hereinafter mentioned. If the Hirer does not exercise the said option or the Agreement is terminated before the exercise of such option then the said amount of deposit will be returned to the Hirer by the Company on the expiration or sooner determination of this Agreement, subject to deduction of any claim which the Company may have against the Hirer under or by virtue of this Agreement or in law, including the cost price of the said Equipment.
C) During the continuance of this Agreement the Hirer shall pay to the Company by equal monthly instalments a sum of Rs_____ as hire charges (“Instalments”), in advance, the first of such payments to be made on the execution of this Agreement and each subsequent monthly payment will be made on or before the ____ day of each succeeding month hereafter. The payment will be made at the registered office of the Company by cash only or by cheque in the name of the Company.
D)  If the Hirer fails to pay any Instalments on the due date thereof then the Hirer shall be liable to pay interest thereon at the rate of ___ per cent per annum from the date of default till payment thereof. This is however, without prejudice to the right of the Company to terminate this Agreement for default in payment of the Instalments as hereinafter provided.
E) The Hirer is obligated to pay the Instalments every month not-withstanding whether the said Equipment is working or remains idle for want of work or for any other reason.
4) Maintenance and Loss
A)During the continuance of this Agreement the Hirer shall keep the said Equipment in good working condition and shall and shall replace any of the parts thereof lost or disused or out-of-use or broken. Risk of any loss or damage to the Equipment will become the responsibility of the Hirer. In the event the Equipment is lost or damaged beyond repair, Hirer shall pay to the Company the replacement cost of the Equipment; in addition, the obligations of this Agreement shall continue in full force and effect through the term.
 
B) If the said Equipment or any part thereof goes out of order and requires repairs of a substantial nature the work of repairs will be carried only through a mechanic appointed by the Company and the Hirer shall pay his charges. [OR The Hirer will not carry out or allow to be carried out any structural modifications to the Equipment without the prior agreement of the Company].
5) Indemnity
The Hirer agrees to indemnify and keep Indemnified the Company against any loss the Company may suffer due to any damage done to the said Equipment by any reason whatsoever.
6) Inspection by Company
The Company through its authorised representative shall be entitled to inspect the said Equipment during working hours at any time. Hirer acknowledges that Company for that purpose shall have the right to enter into the premises where the said Equipment will be installed or kept and the Hirer shall allow the Company and its representative to do so.
7) Working Condition; Liability
The Company does not give any warranty or undertaking as to the quality or fitness of the mechanism of the said Equipment and will not be responsible or liable for any defect found therein.
 
8) Installation
The Hirer proposes to install the said Equipment at _____________[place] and undertakes not to remove the same to any other place without the prior written consent of the Company. The Hirer shall not remove the nameplates fixed to the machinery for the purpose of identification of the property of the Company during the continuance of this Agreement.
9) Insurance
The Hirer shall keep the said Equipment insured for its full re-instatement value as required endorsed in favour of the Company with any recognised insurance company and shall pay the premium as and when due and payable regularly. Hirer shall be responsible to maintain insurance on the Equipment with losses payable to the Company against fire, theft, collision, and other such risks as are appropriate and specified by the Company.  The policy of insurance will be handed over to the Company and the Hirer shall produce the premium receipt or furnish true or photocopy copy thereof to the Company from time to time. If the Hirer fails to insure the said Equipment or fails to pay the premium at any time the Company will be entitled to insure (without prejudice to its other rights under this Agreement) the same or to pay the premium as the case may be and the costs incurred by the Company will be paid by the Hirer to the Company as and when demanded.
10) Use
The Hirer shall use the said Equipment for ____________________________ and not for any other purpose without the prior consent of the Company.
11) Ownership 
The ownership or property of the Company in the said Equipment will continue to remain unaffected during the continuance of this Agreement and the Hirer will hold the same as a bailee.
12) Taxes And Other Laws
A) Hirer shall be responsible for complying with and conforming to all laws and regulations relating to the possession, use or maintenance of the Equipment.  Furthermore, Hirer shall promptly pay all taxes, fees, and governmental charges, together with any penalties or interest thereon, relating to the possession, use or maintenance of the Equipment.
B) If any permit or licence to use the said Equipment is required to be obtained from any Government or any local authority the same will be obtained by the Hirer at his costs and responsibility.
13) Term
This Agreement shall commence on the effective date mentioned above and shall remain in force for a period of______ years or be terminated earlier if  the Hirer exercises the option to purchase as hereinafter provided.
 
14) Delivery
On the expiration of the term or earlier termination thereof as hereinafter provided the Hirer shall deliver the said Equipment back to Company in good working condition subject to normal wear and tear at his costs at the place of business of the Company or as may be directed by the Company provided that, the Hirer shall continue to be liable to pay Instalments until the said Equipment is actually delivered over to or taken over by the Company.
15) Termination
A) If the Hirer is in breach of any term of this Agreement or fails to pay any two (2) Instalments, the Company will have the sole right to terminate this Agreement by giving one (1) month's prior notice to that effect and unless the breach is remedied in that peiod and the Instalments are paid as the case may be. This Agreement shall, on the expiration of the notice period stand terminated. If the Agreement is terminated as aforesaid the Hirer's option to purchase as hereinafter mentioned shall stand forfeited or cancelled.
B)If the Hirer is adjudged insolvent or he allows the said Equipment to be attached in execution of a decree or an order of a court or for recovery of any Government dues or if a Receiver thereof is appointed by Court or any creditor, this Agreement, on the happening of any such event shall stand terminated.
C) If the Hirer does not want to continue the hire he shall have the right to terminate this Agreement by giving at least fifteen (15) days' notice to that effect to the Company and on the expiration of the said period mentioned in the notice, this Agreement will stand terminated.
D) On the termination of this Agreement by efflux of time or earlier termination by the Company or the Hirer or otherwise as aforesaid, the Company shall return to the Hirer the amount of deposit less the amounts payable by the Hirer to the Company for hire charges or otherwise and the expenses to be paid or incurred by the Hirer in terms of these presents and not paid by him.
 16) Exercise of Option
 A) The Hirer can exercise the option to purchase the said Equipment by giving one (1) month's prior notice to the Company. The option to purchase can be exercised from the date of expiration of the stipulated period of this Agreement or from any earlier date. The Hirer shall be liable to pay to the Company a sum equal to the Price of the Equipment mentioned in Clause (3) above, less the aggregate amount of Instalments paid upto that date or Rupee one whichever is higher.
B) On the Hirer exercising the option and paying the price of the Equipment and other moneys as mentioned in clause 16 B) above to the Company the sale of the said Equipment to the Hirer shall be deemed to be complete as on the date the option comes into operation and the Company will continue to be the owner thereof. Should the Hirer fail to pay the amount due and payable to the Company as aforesaid at or before the date from which the option is to become effective, this Agreement shall be terminated and the Hirer will return the Equipment to the Company forthwith in good working condition as aforesaid.
17) Representations
A)  The Hirer declares that:
(i) The Hirer shall not give the said Equipment on hire or on any other basis or to allow it to be used by any other person without the prior written consent of the Company. The Hirer further covenants that he shall not hypothecate or pledge the same with any person to secure payment of any moneys.
(ii) The Hirer hereby covenants that he will not do such acts which may result in seizure and/or the confiscation of the said Equipment by the Central or State Government or local authority or any public officer or authority under any law for the time being in force.
B)  The Company declares that:
 
(i) The Hirer shall have and enjoy quiet possession of the said Equipment during the subsistence of this Agreement.
(ii) That the said Equipment is free from any charge or encumbrance in favour of any third person.
(iii) The Company has a right to sell the said Equipment.
(iv) The said Equipment is new/second hand.
18) Miscellaneous
A)  No Assignment: The Hirer shall not assign the benefits and rights under this Agreement to any other person without the prior written consent of the Company which consent shall not be unreasonably withheld or refused.
B) Entire Agreement: This Agreement sets forth the entire agreement and understanding between the Company and Hirer relating to the subject matter herein and supersedes all prior discussions between us. No modification of or amendment to this Agreement, nor any waiver of any rights under this agreement, will be effective unless in writing signed by the party to be charged.
 
C) Severability:  If one or more of the provisions in this Agreement are deemed void by law, then the remaining provisions will continue in full force and effect.
 
D) Successors and Assigns: This Agreement will be binding upon Hirers heirs, executors, administrators and other legal representatives and will be for the benefit of the Company, its successors, and its assigns.
 
E)  Notices: All  notices  provided  for in this  Agreement  shall be given in writing and shall be effective when either served by hand  delivery, electronic facsimile transmission, express overnight courier service, or by registered or certified mail,  return  receipt  requested,  addressed to the parties at their respective addresses set forth below, or to such other address or addresses as either party may later specify by written notice to the other:
 
           If to Company:                                                                  If to Hirer:
 
F) Governing Law; Dispute Resolution: This Agreement will be governed by the Honorable courts of _____________________in the State of ________, India.  In case of any dispute or difference arising between the parties regarding the meaning, construction, interpretation, breach or fulfillment or non-fulfillment of the terms and obligations of these presents or any clause or condition thereof, the same shall be referred to the decision and arbitration of two arbitrators, one to be nominated by each party which arbitrators shall before taking upon themselves the burden of reference, appoint an umpire. The submission shall be deemed to be a submission to arbitration within the meaning of the Arbitration and Conciliation Act, 1996 or any statutory modification thereof. The award of the Arbitrator or Arbitrators, as the case may be, shall be final and binding on the parties.
WITNESS WHEREOF the parties hereto have hereunto set and subscribed their respective hands the day and year first hereinabove written.
 
SIGNED AND DELIVERED by the within-    )
named Company ____________________      )
by its Authorised Signatory                     )
Mr. ________________________ in the        )
presence of                                                 )
 
 
SIGNED AND DELIVERED by the within-      )
named Hirer Mr./Ms. _______________      )
in the presence of                                       )
 
                     
EXHIBIT A
 
Description of Equipment.
 
1.   Name
2.   Accession No.
3.   Mark/Trade Name
4.   Year of Manufacture
5.   Make of Machine
6.   Number of Machine
7.   Other description
8.   Accessories affixed to the Equipment
                     
 
 
 
 
 
 
 
 
 
 
 
 
   
 

Looking for something else?